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TAX REFORM COMMISSION

Philadelphia’s Tax Reform Commission was originally established in 2002. At that time, it was comprised of community and business leaders, as well as representatives from local chambers of commerce, higher education institutions, and trade organizations.

The commission’s goal at that time was to recommend methods to reduce taxes for Philadelphia residents, workers, and businesses. Their final report was issued in 2003. In February 2024, City Council approved Resolution #240108, sponsored by Council President Johnson, to reconvene Philadelphia’s Tax Reform Commission.

The Tax Reform Commission is tasked with conducting a comprehensive review and analysis of all taxes imposed in Philadelphia, including those imposed by the Commonwealth of Pennsylvania, and to ultimately provide recommendations regarding tax reforms.

Philadelphia Mayor Cherelle Parker and Council President Kenyatta Johnson each appointed four members of the commission, with one appointed by City Controller Christy Brady, and six by the various local chambers of commerce.

MEMBERS

Review the members of Philadelphia’s Tax Reform Commission

Paul Levy

Paul Levy was the Founding President and Chief Executive officer of Center City District, serving in that role from 1991 to 2023. Paul also taught City and Urban Planning for various educational institutions, including the University of Pennsylvania, Temple University, and Columbia University.

Chair/Council Appointment

Richard Vague

Richard Vague is a businessman and venture capitalist who served as the Secretary of Banking and Securities for the commonwealth of Pennsylvania from 2020 to 2023. Vague has authored a handful of books, most recently The Paradox of Debt. Vague holds various board positions, including serving on Penn’s Board of Trustees, Penn Medicine’s board, the Fund for the School District of Philadelphia and as the chair of the University of Pennsylvania Press.

Co-Chair/Council Appointment

Jovan Goldstein

Jovan Goldstein founded JTGoldstein in 2011 and now serves as managing partner where he oversees the assurance, audit, and tax departments. Goldstein also serves as CFO of Philanthropi, a platform that makes online giving more accessible. Goldstein was elected chair of the African-American Chamber of Commerce in 2022.

Council Appointment

Paul Levy

Paul Levy was the Founding President and Chief Executive officer of Center City District, serving in that role from 1991 to 2023. Paul also taught City and Urban Planning for various educational institutions, including the University of Pennsylvania, Temple University, and Columbia University.

Chair/Council Appointment

Richard Vague

Richard Vague is a businessman and venture capitalist who served as the Secretary of Banking and Securities for the commonwealth of Pennsylvania from 2020 to 2023. Vague has authored a handful of books, most recently The Paradox of Debt. Vague holds various board positions, including serving on Penn’s Board of Trustees, Penn Medicine’s board, the Fund for the School District of Philadelphia and as the chair of the University of Pennsylvania Press.

Co-Chair/Council Appointment

Jovan Goldstein

Jovan Goldstein founded JTGoldstein in 2011 and now serves as managing partner where he oversees the assurance, audit, and tax departments. Goldstein also serves as CFO of Philanthropi, a platform that makes online giving more accessible. Goldstein was elected chair of the African-American Chamber of Commerce in 2022.

Council Appointment

Richard Vague

Richard Vague is a businessman and venture capitalist who served as the Secretary of Banking and Securities for the commonwealth of Pennsylvania from 2020 to 2023. Vague has authored a handful of books, most recently The Paradox of Debt. Vague holds various board positions, including serving on Penn’s Board of Trustees, Penn Medicine’s board, the Fund for the School District of Philadelphia and as the chair of the University of Pennsylvania Press.

Co-Chair/Council Appointment

Jovan Goldstein

Jovan Goldstein founded JTGoldstein in 2011 and now serves as managing partner where he oversees the assurance, audit, and tax departments. Goldstein also serves as CFO of Philanthropi, a platform that makes online giving more accessible. Goldstein was elected chair of the African-American Chamber of Commerce in 2022.

Council Appointment

Richard Vague

Richard Vague is a businessman and venture capitalist who served as the Secretary of Banking and Securities for the commonwealth of Pennsylvania from 2020 to 2023. Vague has authored a handful of books, most recently The Paradox of Debt. Vague holds various board positions, including serving on Penn’s Board of Trustees, Penn Medicine’s board, the Fund for the School District of Philadelphia and as the chair of the University of Pennsylvania Press.

Co-Chair/Council Appointment

Jovan Goldstein

Jovan Goldstein founded JTGoldstein in 2011 and now serves as managing partner where he oversees the assurance, audit, and tax departments. Goldstein also serves as CFO of Philanthropi, a platform that makes online giving more accessible. Goldstein was elected chair of the African-American Chamber of Commerce in 2022.

Council Appointment

Richard Vague

Richard Vague is a businessman and venture capitalist who served as the Secretary of Banking and Securities for the commonwealth of Pennsylvania from 2020 to 2023. Vague has authored a handful of books, most recently The Paradox of Debt. Vague holds various board positions, including serving on Penn’s Board of Trustees, Penn Medicine’s board, the Fund for the School District of Philadelphia and as the chair of the University of Pennsylvania Press.

Co-Chair/Council Appointment

Jovan Goldstein

Jovan Goldstein founded JTGoldstein in 2011 and now serves as managing partner where he oversees the assurance, audit, and tax departments. Goldstein also serves as CFO of Philanthropi, a platform that makes online giving more accessible. Goldstein was elected chair of the African-American Chamber of Commerce in 2022.

Council Appointment

Richard Vague

Richard Vague is a businessman and venture capitalist who served as the Secretary of Banking and Securities for the commonwealth of Pennsylvania from 2020 to 2023. Vague has authored a handful of books, most recently The Paradox of Debt. Vague holds various board positions, including serving on Penn’s Board of Trustees, Penn Medicine’s board, the Fund for the School District of Philadelphia and as the chair of the University of Pennsylvania Press.

Co-Chair/Council Appointment

Jovan Goldstein

Jovan Goldstein founded JTGoldstein in 2011 and now serves as managing partner where he oversees the assurance, audit, and tax departments. Goldstein also serves as CFO of Philanthropi, a platform that makes online giving more accessible. Goldstein was elected chair of the African-American Chamber of Commerce in 2022.

Council Appointment

Richard Vague

Richard Vague is a businessman and venture capitalist who served as the Secretary of Banking and Securities for the commonwealth of Pennsylvania from 2020 to 2023. Vague has authored a handful of books, most recently The Paradox of Debt. Vague holds various board positions, including serving on Penn’s Board of Trustees, Penn Medicine’s board, the Fund for the School District of Philadelphia and as the chair of the University of Pennsylvania Press.

Co-Chair/Council Appointment

Jovan Goldstein

Jovan Goldstein founded JTGoldstein in 2011 and now serves as managing partner where he oversees the assurance, audit, and tax departments. Goldstein also serves as CFO of Philanthropi, a platform that makes online giving more accessible. Goldstein was elected chair of the African-American Chamber of Commerce in 2022.

Council Appointment

Richard Vague

Richard Vague is a businessman and venture capitalist who served as the Secretary of Banking and Securities for the commonwealth of Pennsylvania from 2020 to 2023. Vague has authored a handful of books, most recently The Paradox of Debt. Vague holds various board positions, including serving on Penn’s Board of Trustees, Penn Medicine’s board, the Fund for the School District of Philadelphia and as the chair of the University of Pennsylvania Press.

Co-Chair/Council Appointment

Jovan Goldstein

Jovan Goldstein founded JTGoldstein in 2011 and now serves as managing partner where he oversees the assurance, audit, and tax departments. Goldstein also serves as CFO of Philanthropi, a platform that makes online giving more accessible. Goldstein was elected chair of the African-American Chamber of Commerce in 2022.

Council Appointment

Richard Vague

Richard Vague is a businessman and venture capitalist who served as the Secretary of Banking and Securities for the commonwealth of Pennsylvania from 2020 to 2023. Vague has authored a handful of books, most recently The Paradox of Debt. Vague holds various board positions, including serving on Penn’s Board of Trustees, Penn Medicine’s board, the Fund for the School District of Philadelphia and as the chair of the University of Pennsylvania Press.

Co-Chair/Council Appointment

Jovan Goldstein

Jovan Goldstein founded JTGoldstein in 2011 and now serves as managing partner where he oversees the assurance, audit, and tax departments. Goldstein also serves as CFO of Philanthropi, a platform that makes online giving more accessible. Goldstein was elected chair of the African-American Chamber of Commerce in 2022.

Council Appointment

Richard Vague

Richard Vague is a businessman and venture capitalist who served as the Secretary of Banking and Securities for the commonwealth of Pennsylvania from 2020 to 2023. Vague has authored a handful of books, most recently The Paradox of Debt. Vague holds various board positions, including serving on Penn’s Board of Trustees, Penn Medicine’s board, the Fund for the School District of Philadelphia and as the chair of the University of Pennsylvania Press.

Co-Chair/Council Appointment

Jovan Goldstein

Jovan Goldstein founded JTGoldstein in 2011 and now serves as managing partner where he oversees the assurance, audit, and tax departments. Goldstein also serves as CFO of Philanthropi, a platform that makes online giving more accessible. Goldstein was elected chair of the African-American Chamber of Commerce in 2022.

Council Appointment

MYTHS & FACTS

Some Myths and Facts about reducing BIRT and Wage

MYTH

Lowering BIRT and Wage taxes will result in less money for the city budget.

FACT

By lowering BIRT and Wage taxes, we help grow the businesses that already call our city home, and we encourage new businesses to set down roots in our city, both of which would provide a larger return on investment than if we keep taxes at their current rate.

MYTH

Lowering BIRT and Wage is just a way to give tax breaks to big corporations.

FACT

Lowering BIRT and Wage taxes provides the most benefit to local businesses, giving them an increased ability to grow, hire more employees, and expand our tax pool. For many national corporations who have offices in Philadelphia, they already avoid paying BIRT by implementing accounting practices that ensure they don’t make a profit in Philadelphia.

MYTH

Lowering these taxes by small fractions of a percent won’t really help businesses.

FACT

Philadelphia’s BIRT includes a tax on both gross receipts and net income, which is significantly higher than the average rates in other cities. The dual taxation on gross receipts and net income makes it difficult for Philadelphia-based businesses to compete with those in neighboring regions with lower tax burdens.

Additional Facts about BIRT and Wage taxes:

Fact: The high tax rates can lead to reduced investment in the city, as businesses may prefer to invest in regions with more favorable tax environments.

Fact: The Wage Tax, which accounts for a significant portion of the city’s revenue, is sensitive to employment levels. High unemployment or remote work trends can lead to substantial revenue losses for the city.

Fact: High BIRT rates deter new businesses from setting up in Philadelphia, as they face higher operational costs compared to other cities.

Fact: BIRT and Wage taxes disproportionately impact smaller businesses by adding an administrative burden that can be costly and time-consuming. Small businesses often lack the resources to absorb the additional costs or navigate the complex tax requirements

RESOURCES

What is it? 

https://phlcouncil.com/philadelphia-city-council-president-kenyatta-johnson-announces-members-of-the-new-philadelphia-tax-reform-commission/

https://www.inquirer.com/news/philadelphia/philly-wage-tax-business-taxes-reform-commission-cherelle-parker-20240618.html

Getting Informed 

On August 7th, 2024, Pew Charitable Trusts held a virtual panel discussion to examine the prospects of tax reform for Philadelphia. Read more or watch the full panel discussion here.

Committee of Seventy is a 120-year-old good government and pro-democracy nonprofit dedicated to informing voters, holding elected officials accountable, and ensuring free, fair, safe, and secure elections. Explore their variety of educational resources here. You can also use their interactive voter guide, which helps walk you through what your ballot will look like, or use their tools to find your elected officials and polling places.

The Philadelphia City Commissioners are a bipartisan group of elected officials tasked with overseeing our city’s elections and voter registration processes. As such they also provide valuable information and resources to voters about elections, polling places, city government, and more. Take a look at the resources they have here.

TAX REFORM COMMISSION

MEMBERS

MYTHS & FACTS

MYTH

FACT

MYTH

FACT

MYTH

FACT

RESOURCES

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